Is the Continuity of Islamic Banking Usage Related to Customer Religiosity?

Authors

  • Rahmat Dahlan Prof. Dr. Hamka Muhammadiyah University, Indonesia Author
  • Eko Susanto Prof. Dr. Hamka Muhammadiyah University, Indonesia Author
  • Ahmad Fauzi Prof. Dr. Hamka Muhammadiyah University, Indonesia Author
  • Muhamad Fauzi Sultan Abdul Halim Mu'adzam Shah International Islamic University Author

DOI:

https://doi.org/10.24235/jiesbi.v2i2.186

Keywords:

Continuance Intention, Islamic Banking, Customers, Religiosity

Abstract

Performance is an indicator of the results of achieving a person's work targets in carrying out a job as a whole during a certain period in carrying out tasks that are compared with various possibilities, such as work result standards, targets or objectives or criteria that have been determined in advance and have been agreed upon together. This study aims to reconstruct the component of religiosity as one of the main factors for Muslims in muamalah, while trying to analyze the relationship between the religiosity of Islamic banking customers and the intention to continue using Islamic banking. This happens because of the tight competition in the Islamic financial industry in Indonesia, but the Islamic banking industry still has a small percentage of loyal customers, thus contributing to a low market share of Islamic banking in Indonesia. Therefore, banks need to develop strategies, such as maximizing the religiosity factor to increase the intention to continue using Islamic banking. This research was quantitative with a survey method, using a structural equation model (SEM-AMOS) to achieve research objectives. Furthermore, this study selected Islamic banking customers as samples, reaching 530 samples through convenience sampling techniques. The results demonstrated the development of novel indicator to measure individual religiosity related to economic activities. Religiosity is self-awareness of the importance of religion that shows an attitude of surrender to God. This means that a person's religiosity shows more about the processes of internalizing religious values ​​, which then unite within the individual to form daily behavior. Furthermore, this research model also reports that religiosity can significantly increase the intention to continue using Islamic banking.

References

Adamu, I. Y., Rahim, A. K. bin A., & Hamed, A. B. (2017). Ethical dispute control in Islamic banking relationship. IOSR Journal of Economics and Finance, 8(01), 72–77. https://doi.org/10.9790/5933-0801037277

Ali, M., Khan, S.M., Puah, C.-H., Mubarik, M.S. and Ashfaq, M. (2023). Does stakeholder pressure matter in Islamic banks’ corporate social responsibility and financial performance?. International Journal of Ethics and Systems, 39(2), 236-263. https://doi.org/10.1108/IJOES-10-2021-0183

Albaity, M., & Rahman, M. (2019). The intention to use Islamic banking: an exploratory study to measure Islamic financial literacy. International Journal of Emerging Markets, 14(5), 988–1012. https://doi.org/10.1108/IJOEM-05-2018-0218

Alidar, E. M. K., Maulana, M., Ramly, A., & Filzah, N. (2024). The shared values of Sharia banking: Non-Muslims under the Qanun on Islamic financial institutions in Aceh. Ahkam: Jurnal Ilmu Syariah, 24(1), 167–179. https://doi.org/10.15408/ajis.v24i1.39188

Aliyu, S., Yusof, R.M. and Naiimi, N. (2017). The role of moral transaction mode for sustainability of banking business: A proposed conceptual model for Islamic microfinance banks in Nigeria. International Journal of Social Economics, 44(12), 2238-2256. https://doi.org/10.1108/IJSE-07-2016-0205

Aziz, S., Md Husin, M., Hussin, N. and Afaq, Z. (2019). Factors that influence individuals’ intentions to purchase family takaful mediating role of perceived trust. Asia Pacific Journal of Marketing and Logistics, 31(1), 81-104. https://doi.org/10.1108/APJML-12-2017-0311

Ashraf, M. G. (2015). Include the position of Islamic banking, service quality, satisfaction, trust, and loyalty in the context of an integrated model for Islamic finance. European Journal of Business and Management, 6(17), 156–170. www.iiste.org

Budi, B. S., & Faizin, M. (2024). The effect of macroeconomic variables on stock returns of the Jakarta Islamic index: A panel vector error correction model approach. Etihad: Journal of Islamic Banking and Finance, 4(1), 1–16. https://doi.org/10.21154/etihad.v4i1.9019

Bukhari, S. A. A., Hashim, F., & Amran, A. Bin. (2020). Determinants and outcome of Islamic corporate social responsibility (ICSR) adoption in the Islamic banking industry of Pakistan. Journal of Islamic Marketing, 12(4), 730–762. https://doi.org/10.1108/JIMA-11-2019-0226

Bouteraa, M., Chekima, B., Amin, H., Tamma, E., Lada, S., Ansar, R. and Lim, M.F. (2024). Does consumer religiosity matter for green banking adoption? Evidence from a Muslim-majority market. Journal of Islamic Marketing, 15(7), 1807-1823. https://doi.org/10.1108/JIMA-02-2023-0049

Fusva, A., Dean, D., Suhartanto, D., Syarief, M. E., Arifin, A. Z., Suhaeni, T., & Rafdinal, W. (2020). Loyalty formation and its impact on the financial performance of Islamic banks – evidence from Indonesia. Journal of Islamic Marketing, 12(9), 1872–1886. https://doi.org/10.1108/JIMA-12-2019-0258

Hadziq, M. F., & Ali, N. (2025). Awareness of Indonesian migrant workers in paying zakat : Case study of borneo palm oil plantations, Samudera Langkon, Marudu, Sabah, Malaysia. JIESBI: Journal of Islamic Economics and Bussiness Ethics, 2(1), 44–67. https://doi.org/10.24235/jiesbiv1i3

Hasbi, M. Z. N., Munajat, M., & Qoyum, A. (2023). A Conceptual framework of the Islamic human development index ( I-HDI ) and its relationship with maqāṣid Al-Sharī’ah ah. amwaluna: Jurnal Ekonomi Dan Keuangan Syariah, 7(2), 258–273.

Hidayat, R., Akhmad, S., & Machmud, M. (2015). Effects of service quality, customer trust, and customer religious commitment on customer satisfaction and loyalty of Islamic banks in east java. Al-Iqtishad: Jurnal Ilmu Ekonomi Syariah, 7(2), 151–164. https://doi.org/10.15408/aiq.v7i2.1681

Intan Zahira, M. Zidny Nafi’ Hasbi, S. F. (2024). Strengthening economic and development relations transformation efforts towards golden Indonesia 2045. Journal of Islamic Economics and Business Ethics, 1(3), 125–135. https://doi.org/10.24235/jiesbi.v1i2.133

Ismail, A., Hamidaton, U., Soffian, M., Laili, F., & Ismail, M. (2024). Strategic insights into marketing Islamic banking products : A systematic literature review. Global Business and Management Research: An International Journal, 16(3), 491–513.

Ismal, R. (2010). Strengthening and improving the liquidity management in Islamic banking. Humanomics, 26(1), 18–35. https://doi.org/10.1108/08288661011024977

Jasin, H., Mujiatun, S., Fauzi Rambe, M., & Bahagia Siregar, R. (2021). Apakah kepercayaan memediasi pengaruh reputasi bank dan religiusitas terhadap purchase intention?. Jurnal Ilmiah Manajemen Dan Bisnis, 22(1), 86–102. https://doi.org/10.30596/jimb.v22i1.5630

Kamaruddin, Soemitra, A., Rahmani, N. A. B., Bakti, I. G. M. Y., & Azhari. (2024). The effect of customer satisfaction on customer loyalty through brand religiosity image as an intervening variable pengaruh customer satisfaction terhadap customer loyalty. Sosiohumaniora: Jurnal Ilmu-Ilmu Sosial Dan Humaniora, 26(2), 225–233.

Kartika, T., Firdaus, A., & Najib, M. (2020). Contrasting the drivers of customer loyalty: financing and depositor customers, single and dual customers, in an Indonesian Islamic bank. Journal of Islamic Marketing, 11(4), 933–959. https://doi.org/10.1108/JIMA-04-2017-0040

Khotimah, N. (2018). Pengaruh religiusitas, kepercayaan, citra perusahaan, dan sistem bagi hasil terhadap minat nasabah menabung dan loyalitas di bank syariah mandiri (studi kasus pada nasabah bank syariah mandiri Gresik. Jmm17, 5(01), 34–54. https://doi.org/10.30996/jmm17.v5i01.1712

Lasmiatun, K. M. T., & Manteghi, N. (2025). The impact of artificial intelligence ( AI ) implementation on Islamic financial literacy and global economic changes in the banking world. 2(1), 23–43. JIESBI: Journal of Islamic Economics and Business Ethics. https://doi.org/10.24235/jiesbiv1i3

Ma’ruf, A., Sulistiani, G., & Rosyadi, I. (2024). Effect of Service Quality and Religiosity on Customer Satisfaction and Impact on Customer Loyalty of Bank Syariah Indonesia (Issue 10). Atlantis Press SARL. https://doi.org/10.2991/978-2-38476-102-9_20

Mohd Dali, N. R. S., Yousafzai, S., & Abdul Hamid, H. (2019). Religiosity scale development. Journal of Islamic Marketing, 10(1), 227–248. https://doi.org/10.1108/JIMA-11-2016-0087

Mulia, D., Usman, H., & Parwanto, N. B. (2020). The role of customer intimacy in increasing Islamic bank customer loyalty in using e-banking and m-banking. Journal of Islamic Marketing, 12(6), 1097–1123. https://doi.org/10.1108/JIMA-09-2019-0190

Mbawuni, J. and Nimako, S.G. (2018). Muslim and non-Muslim consumers’ perception towards introduction of Islamic banking in Ghana. Journal of Islamic Accounting and Business Research, 9(3), pp. 353-377. https://doi.org/10.1108/JIABR-04-2016-0050

Maulina, R., Dhewanto, W. and Faturohman, T. (2025). Upper-middle-class Muslim characteristics on cash waqf (Islamic endowment) participation for productive purposes: does one-fits-all strategy still work?. Journal of Islamic Accounting and Business Research, 16(4), 722-747. https://doi.org/10.1108/JIABR-04-2023-0134

Mahdzan, N.S., Zainudin, R., Wan Ahmad, W.M. and Hanifa, M.H. (2024). Does Islamic financial literacy and motives influence the holdings of Islamic financial products? A study on bank customers in Klang Valley, Malaysia. Journal of Islamic Marketing, 15(9), 2286-2309. https://doi.org/10.1108/JIMA-05-2022-0158

Nafi’ Hasbi, M. Z. (2022). The need for revitalizing zakah regulation toward productive zakah. Al’Adalah, 25(2), 125–136. https://doi.org/10.35719/aladalah.v25i2.302

Nora, L. (2019). Trust, commitment, and customer knowledge: Clarifying relational commitments and linking them to repurchasing intentions. Management Decision, 57(11), 3134–3158. https://doi.org/10.1108/MD-10-2017-0923

Rahim, N. @ F. binti. (2016). Consumer behaviour, perception and planning towards halal marketing. In Advances in Islamic Finance, Marketing, and Management. https://doi.org/10.1108/978-1-78635-899-820161014

Sugiyono. (2014). Metode Penelitian Manajemen. Alfabeta.

Sumaedi, S., Juniarti, R. P., Mahatma, I. G., & Bakti, Y. (2015). Understanding trust & commitment of individual saving customers in Islamic Banking. Journal of Islamic Marketing, 6(3), 406–428.

Suhartanto, D., Syarief, M.E., Chandra Nugraha, A., Suhaeni, T., Masthura, A. and Amin, H. (2022). Millennial loyalty towards artificial intelligence-enabled mobile banking: evidence from Indonesian Islamic banks. Journal of Islamic Marketing, 13(9), 1958-1972. https://doi.org/10.1108/JIMA-12-2020-0380

Supriyanti, S. S., Nofiana, D., & Pertiwi, G. (2025). How do pancasila economics and Islamic economics relate to financial governance policies in Indonesia ?. 2(1), 1–22. https://doi.org/10.24235/jiesbiv1i3

Tabrani, M., Amin, M., & Nizam, A. (2018). Trust, commitment, customer intimacy, and customer loyalty in Islamic banking relationships. International Journal of Bank Marketing, 36(5), 823–848. https://doi.org/10.1108/IJBM-03-2017-0054

Usman, H. (2015). Customers' trust in Islamic banks in Indonesia. The Journal of Asian Finance, Economics and Business, 2(1), 5–13. https://doi.org/10.13106/jafeb.2015.vol2.no1.5.

Usvita, M. (2021). Pengaruh religiusitas dan kepercayaan nasabah terhadap keputusan menabung pada bank nagari syariah KCP simpang empat. Jurnal Apresiasi Ekonomi, 9(1), 47–53. https://doi.org/10.31846/jae.v9i1.339

Warsame, M. H., & Ireri, E. M. (2016). Does the theory of planned behaviour (TPB) matter in Sukuk investment decisions?. Journal of Behavioral and Experimental Finance, 12(2), 93–100. https://doi.org/10.1016/j.jbef.2016.10.002

Yasin, M., Liébana-Cabanillas, F., Porcu, L., & Kayef, R. N. (2020). The role of customer online brand experience in customers’ intention to forward online company-generated content: The case of the Islamic online banking sector in Palestine. Journal of Retailing and Consumer Services, 52, 101902. https://doi.org/10.1016/j.jretconser.2019.101902

Yusfiarto, R., Nugraha, S. S., Pambudi, D. S., & Pambekti, G. T. (2022). Islamic banking and loyalty: Service quality, intimacy or religious driven?. Studies in Business and Economics, 17(2), 300–318. https://doi.org/10.2478/sbe-2022-0040

Downloads

Published

2025-06-02

Issue

Section

Articles

How to Cite

Is the Continuity of Islamic Banking Usage Related to Customer Religiosity?. (2025). Journal of Lslamic Economics and Bussines Ethics, 2(2), 173-195. https://doi.org/10.24235/jiesbi.v2i2.186

Most read articles by the same author(s)

1 2 3 > >>